The Kingdom of Bhutan has announced a major step in its national digital strategy, rolling out TER, a new gold-backed digital token. Issued through the Gelephu Mindfulness City (GMC) and supported by the nation’s sovereign framework, TER is designed to merge the stability of physical gold with the efficiency of modern blockchain technology.
The token, whose name is derived from the Dzongkha word for “Treasure,” is built on the Solana blockchain and fully backed by physical gold reserves. It will be distributed and custodied exclusively by DK Bank, Bhutan’s first licensed digital bank, ensuring a regulated path for investors.
Key Highlights of the Launch
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Sovereign-Backed Asset: TER is one of the world’s first national gold-backed tokens issued with explicit sovereign backing, positioning it as a verifiable claim on Bhutan’s audited reserves.
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On-Chain Transparency: The token utilizes Solana’s high-speed, low-cost network, allowing for full on-chain transparency, quick settlement, and global mobility—features often lacking in traditional gold markets.
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Direct Access: In the initial phase, both domestic and international investors can purchase TER directly through DK Bank, creating a seamless bridge between a regulated financial institution and transparent digital ownership.
A Flagship for Gelephu Mindfulness City
The launch of TER is a flagship project for the Gelephu Mindfulness City, a Special Administrative Region being developed to attract international capital and foster a values-driven digital economy.
Jigdrel Singay, Board Director of GMC, stated that the token is a “foundational step in building a values-driven digital economy rooted in real-world assets and sovereign trust.” The initiative is a core pillar of Bhutan’s broader strategy to diversify its economy through technology and sustainability.
Bhutan’s move follows a growing trend of nations experimenting with tokenized real-world assets (RWAs). It comes shortly after Kyrgyzstan unveiled USDKG, a state-supervised gold-backed stablecoin.
The tokenization of RWAs is rapidly gaining traction in global finance. Recent research from Web3 digital property firm Animoca Brands suggests the tokenization of the nearly $400 trillion traditional finance market represents a vast runway for growth. Separately, the 2025 Skynet RWA Security Report projects the market for tokenized RWAs could swell to $16 trillion by 2030.
The introduction of TER is the latest step in Bhutan’s comprehensive digital evolution. Over the past few years, the Kingdom has actively woven digital assets into its national strategy, including:
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Leveraging hydropower to mine Bitcoin.
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Deploying a blockchain-based national digital identity system.
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Integrating crypto-powered payments in sectors like tourism.
By bridging its traditional asset reserves with cutting-edge blockchain infrastructure, Bhutan aims to establish itself as a unique global model for a digitally enabled, transparent, and sovereign-aligned financial ecosystem.
